Misinformation: "Banking Industry Cryptocurrency Regulations to be Announced in September" - Revisiting the Financial Supervisory Commission's Interrogation Scene

Update on 5/4: FSC reiterates that the regulations for "regulating virtual asset trading platform operators" will be introduced in September this year. It is unrelated to the regulations on banks buying and selling cryptocurrencies.

Misreporting "Banking Industry Cryptocurrency Trading Regulations to be Announced in September," Media Should Take Responsibility

On April 27th, Huang Tianmu, Chairman of Taiwan's Financial Supervisory Commission (FSC), answered questions from Legislator Li Kuei-min regarding cryptocurrency, highlighting five points:

1. Regarding whether traditional financial institutions in the future can engage in virtual currency businesses, using DBS Bank in Singapore as an example, which has subsidiaries providing cryptocurrency services. FSC Chairman Huang Tianmu stated that this is in Singapore, and there is currently no such demand in Taiwan. It is the subsidiary of DBS Bank in Singapore, not in Taiwan.
2. When asked if there are regulations to bring cryptocurrencies to light in Taiwan, Chairman Huang Tianmu stated that guidelines will be issued in September.
3. Under these guidelines, can similar incidents to the FTX event be prevented? Chairman Huang Tianmu mentioned that they will regulate the segregation of assets in exchanges, separating cold and hot wallets.
4. There are no plans for cryptocurrency exchanges to go public, hoping for a gradual progression. Note: Maicoin exchange is currently planning an IPO.

Watch the complete questioning video

Regrettably, Taiwan's cryptocurrency media misinterpreted the FSC Chairman's statements during the questioning session, leading to a misleading headline: "FSC to Announce 'Banking Industry Cryptocurrency Trading Regulations' in September, Taiwan Exchanges Not Allowed to Go Public." In reality, Chairman Huang Tianmu only mentioned that Taiwan's DBS Bank does not offer cryptocurrency services. Furthermore, the so-called guidelines to be released in September have no relation to regulations on cryptocurrency trading in the banking industry.

Taiwan's cryptocurrency media combined two separate issues into the misleading headline of "FSC to Announce Banking Industry Cryptocurrency Trading Regulations in September."

Indeed, the guidelines to be released in September pertain to self-regulation rules for the industry: the FSC will become the main regulatory authority for virtual assets! It is not an official industry, no regulations will be set, relying on "associations" for self-regulation.

Misreporting by Cross-Strait Media, Foreign Communities Begin Congratulating Taiwan

Following Taiwan's cryptocurrency media report on April 27th, mainland Chinese media began reporting on the supposed announcement of "Banking Industry Cryptocurrency Trading Regulations" to be released in September:

Foreign Twitter account @WatcherGuru even stated that Taiwan allows traditional banks to provide cryptocurrency trading services:

Subsequently, communities also started congratulating Taiwan:

Ethics of Taiwan's Cryptocurrency Media?

To cater to traffic and create sensational headlines, many mainstream media outlets resort to such means. However, when it comes to cryptocurrency information closely related to the economy, unchecked or intentionally misleading content can significantly impact investors.

Unfortunately, such behavior can only be restrained by social ethics, and readers still need to conduct their own research and verify information.